Non-Compete Applies To Facebook Page for Unlaunched Business in Pennsylvania

This is another case where the defendant allegedly solicits customers or employees over social media in the face of a restrictive covenant. We recently blogged a couple of cases involving solicitations over LinkedIn. This case involves solicitations over Facebook.

O’Laughlin sold his vet clinic to Joseph. The sale agreement contained a non-compete clause that prohibited him from opening a clinic or soliciting patients or employees within 50 miles of the location he sold. The covenant was valid for five years. He sold the clinic for $750,000.

Six months later, O’Laughlin filed a zoning petition to operate a clinic at a location which was 8 miles from the clinic he sold. He formed an entity, create a Facebook page, purchased equipment, and published a “coming soon” page on Facebook. A link directed users to the prospective location in question.